The Nigerian government will spend US$1.6bn for the turnaround maintenance (TAM) of its three refineries located in Port Harcourt, Warri and Kaduna
Diezani Alison-Madueke, Nigerian minister of petroleum resources, said that it was only after the TAM that the three refineries could operate at full capacity utilisation.
The TAM, which will be expected to begin in January 2013, has been scheduled for completion in October 2014, informed the minister.
A report on THISDAY revealed that while the Port Harcourt refinery has not been in operation, both the Warri and Kaduna refineries, as in July, have been operating at about 25 per cent capacity utilisation.
The minister explained that for strategic reasons, the timetable for the maintenance had to be revised.
Alison-Madueke added that under the new timetable for the maintenance of the refineries, work would commence in January 2013, first with the Port Harcourt refinery, which has not undergone any major repair since 2000, followed by the repair of the Warri and Kaduna refineries respectively.
According to the minister, more than 75 per cent of the parts needed for the TAM on the Port Harcourt refinery had arrived in the country already, adding that US$32mn had been paid to the original builder of the refinery as part of the efforts to revive it.
She pointed out, however, that the total amount that would be expended on the Port Harcourt refinery was US$147mn, while the modernisation of the refinery alone would cost the government US$406mn.
